• 3 minutes Boris Johnson taken decision about 5G Huawei ban by delay (fait accompli method)
  • 6 minutes This Battery Uses Up CO2 to Create Energy
  • 10 minutes Phase One trade deal, for China it is all about technology war
  • 12 minutes Trump has changed into a World Leader
  • 5 mins Indonesia Stands Up to China. Will Japan Help?
  • 11 hours Might be Time for NG Producers to Find New Career
  • 18 hours Shale Oil Fiasco
  • 2 hours Environmentalists demand oil and gas companies *IN THE USA AND CANADA* reduce emissions to address climate change
  • 10 hours Angela Merkel take notice. Russia cut off Belarus oil supply because they would not do as Russia demanded
  • 24 mins We're freezing! Isn't it great? The carbon tax must be working!
  • 2 hours Beijing Must Face Reality That Taiwan is Independent
  • 2 days Swedes Think Climate Policy Worst Waste of Taxpayers' Money in 2019
  • 2 days Wind Turbine Blades Not Recyclable
  • 1 hour China's Economy and Subsequent Energy Demand To Decelerate Sharply Through 2024
  • 18 hours US Shale: Technology
  • 2 days Denmark gets 47% of its electricity from wind in 2019
Alt Text

Oil Is The Only Way Back Up For Venezuela

Venezuela’s economic and humanitarian crisis…

Alt Text

Why Russia Should Exit The OPEC+ Deal

Russia isn't nearly benefiting as…

Irina Slav

Irina Slav

Irina is a writer for Oilprice.com with over a decade of experience writing on the oil and gas industry.

More Info

Premium Content

Oil Prices Buoyed By Draws In Gasoline, Distillate Inventories

With the snap-back of U.S. sanctions against Iran just days away, oil markets continue to be jittery, yet prices seem to be rather oblivious to inventory reports from the United States. The EIA’s latest report, is unlikely to change that. The authority reported a build of 3.2 million barrels for the week to October 26th, a day after the API estimated inventories had risen by a hefty 5.69 million barrels, which failed to move prices down.

Last week, the EIA reported an inventory build of over 6 million barrels, with gasoline and distillate fuel inventories down by 4.8 million and 2.3 million barrels, respectively. In the week to October 26th, gasoline inventories were down by 3.2 million barrels, while distillate fuel inventories were down by 4.1 million barrels.

Gasoline production last week averaged 10.4 million bpd, up from 10 million bpd a week earlier. Distillate fuel output stood at 5 million bpd, unchanged on the week.

Despite the positive effect on prices of the Iran sanctions and the potential loss of a significant chunk of global supply, it seems that in the past few days, concern over the world’s economic growth outlook and hence oil demand has gained the upper hand, pushing both Brent and West Texas Intermediate lower. Related: Equinor Strikes More Oil At Giant Johan Castberg Field

Analysts note trade tensions between Washington and Beijing also had a role to play in the recent reversal of oil prices’ fortunes as President Trump said he had billions more worth of Chinese goods to impose tariffs on if Beijing does not agree to a deal soon.

Comments from the International Energy Agency’s head, Fatih Bitol, earlier this week only reinforced this concern. Birol said crude oil prices have gone up high enough to begin hurting demand for the commodity. He noted the adverse effect of higher oil prices on large emerging economies in particular, including India and Indonesia, saying, “Many countries’ current account deficits have been affected by high oil prices.”

At the time of writing, Brent crude traded at US$75.66 a barrel, with WTI at US$65.92 a barrel, both down by a third of a percentage point since trade opened today.

By Irina Slav for Oilprice.com

More Top Reads From Oilprice.com:




Download The Free Oilprice App Today

Back to homepage




Leave a comment
  • Brandon on October 31 2018 said:
    Buzz word of the month: WAIVER
    Never forget fundamentals: global demand raised more than 5 million bpd in the last 4 years, with another 1.5 Mbpd in 2018. Demand keeps growing steadily in countries where middle class living standards are raising steadily, India for first. Don't expect this trend to deviate any soon and don't expect to find the solution in shale.

Leave a comment




Oilprice - The No. 1 Source for Oil & Energy News
Download on the App Store Get it on Google Play